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Tax Reform Could Impact Disaster Recovery

Housing groups in Texas and Florida sent a letter to House Speaker Paul Ryan (R-WI) opposing the House Republican tax plan, saying it would hurt disaster recovery efforts. The House tax plan would eliminate the tax exemption for private activity bonds (PABs), essentially eliminating 4% Low Income Housing Tax Credits, both of which promote private-public partnerships to help fund infrastructure and affordable housing projects. In the letter, the Florida Housing Coalition, an NLIHC state partner, and the Texas Affiliation of Affordable Housing Providers state that eliminating PABs would “be putting vital resources at risk at a time when they are needed to repair and rebuild homes of those affected by Hurricanes Harvey and Irma.” The Miami Herald published on November 9 a letter to the editor by Jaimie Ross, CEO of the Florida Housing Coalition, opposing the elimination of PABs.